We are witnessing the rise of digital nations with their own systems of clearly delineated, irrevocable property rights, says the purchaser
The largest-ever known non-fungible token (NFT) sale was reported on Monday as an NFT representing digital plots of land was sold for $1.5 million on Axie Infinity, a crypto-tamagotchi virtual ecosystem.
The platform sells NFTs for Axies, the Ethereum game’s fantasy creatures that inhabit a player-controlled virtual realm called Lunacia. The sale of the digital land was hailed as a groundbreaking achievement by netizens as the price sometimes beats the price of real land.
Axie Infinity is a Pokémon-inspired universe where anyone can earn tokens through skilled gameplay and contributions to the ecosystem. Players can battle, collect, raise, and build a land-based kingdom for their pets. The game is top-ranked on Ethereum by daily, weekly, and monthly active users and has generated over 6,400 ETH, worth more than $2 million in revenue so far.
On Monday, a community member purchased nine digital land plots in Lunancia as a single parcel for 888.25 ETH which is worth more than $1.5 million. 19% of the total land in Lunacia’s 90,601 plots are already player owned.
It is crucial to note that one could buy substantial real estate holdings with that amount from luxury ocean view condominiums in Singapore to an estate in Santa Barbara county or a 26-acre site for development in Louisiana.
The purchaser, who goes by the name ‘Flying Falcon’ in the community, explained their decision to purchase nine genesis plots in a tweet saying “We’re witnessing a historic moment; the rise of digital nations with their own systems of clearly delineated, irrevocable property rights. Axie land has entertainment value, social value, and economic value in the form of future resource flows.”
The digital landowner further pointed out Axie’s stunning growth in 2020 where the platform witnessed a 743% increase in NFT holders, a 608% rise in marketplace volume, and a more than 3,000% spike in active monthly users.
Axie’s Ronin Mainnet, a sidechain built to ease the pressure of the Ethereum network’s congestion and gas fees on players, was launched last week. The platform is also working on an interactive system dubbed Project K which will enable players to explore, decorate, battle, and harvest resources on their virtual land.
Decentraland, a popular digital real estate company is ranked top in terms of all-time volume at $40 million with the average price of a virtual land plot said to be around $343. The latest development is another indication of the rapidly growing digital real estate economies.